Page last updated at 20:37 GMT, Wednesday, 15 October 2008 21:37 UK

Oil prices decline still further

Oil workers in Azerbaijan
Economic fears are hitting global demand for oil

Oil prices are continuing recent falls, dragged down by the expectation that turmoil in the global financial sector will lead to a wider economic slump.

With demand already falling, US light crude ended down 5.2% or $4.09 cents to $74.54 a barrel on Wednesday, its lowest level for 13 months.

Brent crude was also lower, dropping $3.56 cents to $71.04. Back in July, oil prices hit a record $147 high.

The world's major oil producers are now likely to further cut production.

'Global situation'

Members of the 13-nation Organization of the Petroleum Exporting Countries (Opec) have already hinted that output will be cut following their next meeting in November.

Opec has already lowered output following its September meeting, as it aims to shore up prices in the face of the falling demand.

"The situation of the global economy is the main reason for the price drop," said Iranian Oil Minister Gholamhossein Nozari.

Opec comprises Algeria, Angola, Ecuador, Indonesia, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, the United Arab Emirates, and Venezuela.

The BBC is not responsible for the content of external internet sites

Has China's housing bubble burst?
How the world's oldest clove tree defied an empire
Why Royal Ballet principal Sergei Polunin quit


Sign in

BBC navigation

Copyright © 2019 BBC. The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.

Americas Africa Europe Middle East South Asia Asia Pacific